Convertibles Calendar

JAN. 22 WEEK

BALDOR ELECTRIC CO. (NYSE: BEZ): $150 million three-year mandatorily convertible preferred stock; UBS Investment Bank, Bear Stearns (joint books); off shelf; $22.5 million greenshoe; par of $250; automatically convert in 2010; Fort Smith, Ark.-based maker of electric motors, drives and generators will use proceeds along with $200 million of common stock and $550 million of unsecured senior notes to finance acquisition of Rockwell Automation Inc.'s Reliance Electric industrial motors and Dodge mechanical power transmission businesses and to repay all Baldor's debt; pricing on Jan. 25 after the close.

COVANTA HOLDING CORP. (NYSE: CVA): $325 million 20-year convertible senior debentures; Lehman Brothers, JP Morgan and Merrill Lynch (joint books); off shelf; $48.75 million greenshoe; non-callable for five years, puts in years five, 10 and 15; contingent conversion at 130%; Fairfield, N.J.-based waste disposal, energy and specialty services company will use proceeds along with proceeds from $125 million of common stock, $300 million revolving credit facility, $320 million funded letter of credit facility and $680 million first-lien term loan facility and cash on hand for recapitalization which includes tender for $195.8 million of 8.5% senior secured notes due 2010 of MSW Energy, $224.1 million of 7.375% senior secured notes due 2010 of MSW Energy, and $211.6 million of 6.26% senior notes due 2015 of subsidiary ARC Holdings; pricing Thursday after the close; talked at a coupon of 1% to 1.5% and an initial conversion premium of 17.5% to 22.5%.

EDGE PETROLEUM CORP. (Nasdaq: EPEX): $100 million perpetual convertible preferred stock; JP Morgan, Raymond James (joint books); off shelf; par of $50; $15 million greenshoe; after three years, issuer may force conversion subject to a hurdle at 130% of the conversion price; Houston-based energy company will use proceeds along with sale of 9.2 million shares to finance its acquisition of oil and gas assets from Smith Production Inc. and to refinance existing revolving loan; pricing Jan. 23 after the close; talked at a dividend of 5.75% to 6.25% and an initial conversion premium of 20% to 25%.

LEXINGTON REALTY TRUST (NYSE: LXP): $250 million 20-year exchangeable senior notes issued by subsidiary Lexington Master LP; Lehman Brothers; Rule 144A; non-callable for five years, puts in years five, 10 and 15; contingent exchange at 125%; New York-based real estate investment trust focused on non-residential properties will use proceeds to repay secured debt; pricing Tuesday after the close; talked at a coupon of 4.95% to 5.45% and an initial exchange premium of 17.5% to 22.5%.

ON THE HORIZON

ANWORTH MORTGAGE ASSET CORP. (NYSE: ANH): $25 million perpetual convertible preferred stock; Friedman Billings Ramsey; off shelf; $3.75 million greenshoe; after five years company may force conversion subject to a hurdle at 130%; Santa Monica, Calif.-based real estate investment trust will use proceeds to acquire mortgage-related assets; talked at dividend rate of 6.25%.

INVACARE CORP. (NYSE: IVC): $125 million 20-year senior subordinated convertible notes; part of debt recapitalization that also includes a senior secured revolving loan and term loans; Elyria, Ohio-based maker of non-acute health care products.

STANLEY WORKS (NYSE: SWK): equity-linked convertible debt to help finance acquisition of HSM Electronic Protection Services, Inc. from private investors for $545 million in cash; also to be funded with available cash and debt, including a $500 million credit agreement via Citigroup Global Markets Inc.

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